Elements of Production Planning and Control (PPC)

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24 Jul 202006:37

Summary

TLDRThe script outlines the critical role of production planning and control in an organization. It details the functions of a planning department, which prepares policies, plans, and budgets based on management directives. Key elements include materials planning, method selection, machinery and equipment planning, manpower planning, routing, and the creation of routing sheets. The script also covers estimating, machine loading, scheduling, dispatching, inspection, evaluating, and cost control, emphasizing their importance in achieving production targets and maintaining quality standards.

Takeaways

📝 **Production Planning Foundation**: Production planning is the cornerstone of production planning and control, involving advance decisions on future actions.
🏢 **Planning Department Role**: A dedicated planning department is established to prepare policies and plans for production, including charts, manuals, and budgets based on management information.
🔍 **Production Control Impact**: Deficiencies in production planning directly affect production control, which is crucial for achieving production targets.
🛠️ **Materials Planning**: Essential for procuring raw materials, components, and spare parts with the right specifications, at the right time, from the right source.
🔧 **Method Selection**: Choosing the best processing method and sequence of operations, including tooling, jigs, and fixtures planning.
🏭 **Machines and Equipment**: Production methods are tied to the available manufacturing facilities, involving capacity and utilization planning for plant and equipment.
👥 **Manpower Planning**: Involves planning for labor and managerial levels with the appropriate skills and expertise.
🔄 **Routing and Flow of Work**: Determining the path of work through the plant, including material handling and the sequence of operations.
📑 **Route Sheet Details**: A document outlining each step of production operations, including required machines, tools, and specifications.
⏱️ **Operation Times and Standards**: Estimating operation times and setting performance standards for workers and machines based on sales forecasts.
🔄 **Machine Loading**: Assigning specific jobs to machines or work centers to maximize resource utilization and avoid bottlenecks.
⏰ **Scheduling**: Ensuring timely completion of parts, sub-assemblies, and finished goods to meet delivery dates and optimize resource use.
📢 **Dispatching**: Executing planning functions by releasing orders and instructions for production start in line with routing and scheduling.
🔍 **Inspection**: Maintaining production quality and evaluating process efficiency for continuous improvement towards quality standards.
📊 **Evaluating Performance**: Assessing machine, process, and labor performance to drive improvements and enhance overall efficiency.
💰 **Cost Control**: Controlling manufacturing costs through waste reduction, value analysis, inventory control, and resource optimization.

Q & A

What is the primary role of a production plan in production planning and control?
-The primary role of a production plan is to decide in advance what needs to be done in the future, providing a sound basis for production control and ensuring the achievement of production targets.
What is the function of a separate planning department in an organization?
-A separate planning department is responsible for the preparation of policies and plans regarding production, including the creation of charts, manuals, and production budgets based on information received from management.
Why is it important to have a well-prepared production plan?
-A well-prepared production plan is crucial because if it is defective, production control will be adversely affected, which can hinder the achievement of production targets.
What are the key activities associated with material planning in production?
-Key activities associated with material planning include procurement of raw materials, components, spare parts, purchasing, storage, inventory control, standardization, variety reduction, value analysis, and inspection.
What does method planning involve in the context of production planning?
-Method planning involves choosing the best method of processing from several alternatives, determining the best sequence of operations, and planning for tooling, jigs, and fixtures.
How are manufacturing methods related to production facilities in production planning?
-Manufacturing methods are related to the production facilities available in the production systems, involving facilities planning, capacity planning, allocations, and utilization of plant and equipment, machines, etc.
What is the significance of manpower planning in production?
-Manpower planning is significant as it ensures that there is an appropriate workforce with the necessary skills and expertise at both labor and managerial levels to meet production requirements.
What information does a route sheet provide for the production process?
-A route sheet provides information on the operation sequence, machines or equipment used for each operation, estimated setup and operation time per piece, tools and fixtures required, detailed drawings, specifications, dimensions, tolerances, surface finishes, quality standards, raw material specifications, and inspection procedures.
What is the purpose of estimating in production planning?
-The purpose of estimating is to decide the quantity of the product to be produced and the cost involved, based on sales forecasts, to ensure that manpower, machine capacity, and material requirements meet the planned production targets.
How does machine loading contribute to production efficiency?
-Machine loading contributes to production efficiency by assigning specific jobs to machines, men, or work centers based on priorities and capacity utilization, ensuring maximum utilization of productive facilities and avoiding bottlenecks in production.
What is the main goal of scheduling in production planning?
-The main goal of scheduling is to ensure that parts, sub-assemblies, and finished goods are completed as per required delivery dates, providing a timetable for manufacturing activities to prevent unbalanced use of time and to utilize labor efficiently.
What is the role of dispatching in the execution of production planning functions?
-Dispatching is concerned with the execution of planning functions, giving the necessary authority to start a particular work that has already been planned under routing and scheduling, releasing orders and instructions for starting production in accordance with the route sheet and scheduling charts.
Why is inspection important in the context of production planning and control?
-Inspection is important for maintaining quality in production and evaluating the efficiency of processes, methods, and labor, allowing for improvements to be made in order to achieve the quality standards set by product design.
What is the objective of evaluating performance in production planning?
-The objective of evaluating performance is to improve the performance of machines, processes, and labor, with the aim of enhancing overall production efficiency and effectiveness.
How is cost control achieved in manufacturing as part of production planning?
-Cost control in manufacturing is achieved through wastage reduction, value analysis, inventory control, and efficient utilization of all resources to minimize costs while maintaining production quality.

Outlines

00:00

📝 Production Planning and Control Overview

This paragraph introduces the fundamental role of production planning in an organization, emphasizing its importance as the first step in production control. It explains that planning involves strategic decisions about future activities and is managed by a dedicated department responsible for creating policies and plans. This department prepares essential documents like charts, manuals, and budgets based on management's input. The paragraph also outlines the negative impact of poor planning on production control and how planning provides a solid foundation for it. It describes production planning as a top-level activity, while control is exercised at the operational level. The paragraph concludes by listing key elements of production planning and control, such as materials planning, method selection, machinery and equipment planning, manpower planning, routing, and the significance of a route sheet in detailing the production process.

05:01

📅 The Importance of Scheduling and Dispatching

The second paragraph delves into the purpose of scheduling in production, highlighting its role in preventing unbalanced time usage across work centers and departments. It underscores the importance of utilizing labor efficiently to meet delivery deadlines and minimize production costs. The paragraph then introduces dispatching as the execution of planning functions, which involves releasing orders and instructions to start production as per the routing and scheduling charts. Dispatching ensures that production aligns with the predefined plans. The paragraph also touches on inspection as a crucial function for maintaining quality and evaluating process efficiency. It concludes with an overview of evaluating performance and cost control, explaining how these elements contribute to improving machine, process, and labor performance, and how cost control is achieved through waste reduction and efficient resource utilization.

Mindmap

Keywords

💡Production Planning

Production planning is the strategic process of deciding what to produce and how to produce it in advance. It is the foremost element of production planning and control, as it lays the groundwork for all subsequent activities. In the video's script, production planning is depicted as a critical function performed by a separate planning department within an organization, which is responsible for creating policies and plans for future production activities.

💡Production Control

Production control is the operational aspect of ensuring that the production process adheres to the plans and achieves the set targets. It is closely related to production planning and is exercised at the machine shop floor level where actual production takes place. The script mentions that if production planning is flawed, production control will be adversely affected, emphasizing the interdependence of these two concepts.

💡Planning Department

The planning department is a specialized unit within an organization that is tasked with the preparation of policies and plans related to production. As mentioned in the script, this department prepares various charts, manuals, and production budgets based on information received from management, highlighting its role in shaping the practical aspects of production planning.

💡Materials Planning

Materials planning involves the procurement of raw materials, components, and spare parts in the right quantities and specifications at the right time. It is one of the important elements of production planning and control discussed in the script. The process includes purchasing, storage, inventory control, and other activities associated with material management, such as standardization and value analysis.

💡Method

In the context of production, 'method' refers to choosing the best method of processing from several alternatives. It includes determining the best sequence of operations, creating a process plan, and planning for tooling, jigs, and fixtures. The script emphasizes the importance of this element in ensuring efficiency and effectiveness in the production process.

💡Machines and Equipment

This concept relates to the manufacturing methods and the production facilities available within a production system. It involves facilities planning, capacity planning, and the allocation and utilization of plant and equipment. The script mentions this as an integral part of production planning, indicating its importance in the overall production process.

💡Manpower Planning

Manpower planning is about ensuring that there is an appropriate workforce with the necessary skills and expertise at both labor and managerial levels. The script discusses this as one of the key elements of production planning and control, underlining the importance of having the right people in place to execute production tasks.

💡Routing

Routing is the determination of the flow of work and material handling within a plant, as well as the sequence of operations or processing steps. It is related to the consideration of shop layout, plant layout, and materials handling systems. The script explains that routing is essential for defining the precise path that a product will follow during the conversion process.

💡Route Sheet

A route sheet is a document that provides information and instructions for converting raw materials into finished parts or products. It outlines each step of the production operations and the path that the product will take. The script describes the contents of a route sheet, including operation sequence, required machines, setup and operation times, and quality standards.

💡Estimating

Estimating involves deciding the quantity of the product to be produced and the costs involved, based on sales forecasts. It is a key activity before budgeting for resources such as manpower, machine capacity, and materials. The script mentions estimating as a crucial step in production planning that helps in setting performance standards for workers and machines.

💡Loading

Loading is the process of converting an operation schedule into practice, in conjunction with routing. It involves assigning specific jobs to machines, men, or work centers based on priorities and capacity utilization. The script explains that loading is important to ensure maximum utilization of productive facilities and to avoid bottlenecks in production.

💡Scheduling

Scheduling ensures that parts, sub-assemblies, and finished goods are completed as per required delivery dates. It provides a timetable for manufacturing activities and helps in preventing unbalanced use of time among work centers and departments. The script highlights the purposes of scheduling, such as utilizing labor efficiently to deliver products on time and complete production at minimum cost.

💡Dispatching

Dispatching is concerned with the execution of planning functions. It involves giving the necessary authority to start a particular work that has already been planned under routing and scheduling. The script describes dispatching as the release of orders and instructions for starting production, in accordance with the route sheet and scheduling charts.

💡Inspection

Inspection is related to maintaining quality in production and evaluating the efficiency of processes, methods, and labor. It is aimed at making improvements to achieve the quality standards set by product design. The script mentions inspection as a function that is integral to ensuring the production process meets the required quality benchmarks.

💡Evaluating

Evaluating is the process of assessing the performance of machines, processes, and labor to identify areas for improvement. The objective of evaluating, as mentioned in the script, is to enhance performance by making necessary adjustments and improvements.

💡Cost Control

Cost control in manufacturing involves managing costs by reducing wastage, conducting value analysis, controlling inventory, and ensuring efficient utilization of all resources. The script discusses cost control as the final element in the list, emphasizing its importance in achieving production goals within budget constraints.

Highlights

Production planning is the first and foremost element of production planning and control.

Planning refers to deciding in advance what is to be done in the future.

A separate planning department is established in the organization to prepare policies and plans regarding production.

Production plans are given practical shape by carrying various elements under production control.

If production planning is defective, production control is bound to be adversely affected.

Production planning provides a sound basis for production control.

Production plans are prepared in advance at the top level, while production control is exercised at the machine shop floor level.

Materials planning involves procurement of raw materials, components, and spare parts in the right quantities and specifications.

Method choosing involves selecting the best method of processing from several alternatives.

Machines and equipment planning involves facilities planning, capacity planning, and utilization of plant and equipment.

Manpower planning is for having appropriate skills and expertise at labor and managerial levels.

Routing determines the flow of work, material handling in the plant, and sequence of operations or processing steps.

A route sheet provides information and instructions for converting raw material into finished parts or products.

Estimating involves deciding the quantity of the product to be produced and the cost involved based on sales forecast.

Machine loading is the process of assigning specific jobs to machines, men, or work centers based on priorities and capacity utilization.

Scheduling ensures that parts, sub-assemblies, and finished goods are completed as per required delivery dates.

Dispatching is concerned with the execution of planning functions and gives authority to start a particular work.

Inspection is related to maintaining quality in production and evaluating the efficiency of processes, methods, and labor.

Evaluating aims to improve the performance of machines, processes, and labor.

Cost control involves manufacturing cost control by wastage reduction, value analysis, inventory control, and efficient utilization of resources.